Question

Question 2 Probability Questions: Each question is worth 2 marks: Total
Business makes a profitT Business makes a loss
International Manager . ..15 . .30
Local Manager .10 .45
A. P (Local Manager) =
B. P (Business makes a loss) =
C. P (International Manager OR Business makes a profit) =
D. P (Local Manager AND International Manager) =
E. P (Business makes a loss | Manager is International) =

Answer 1

Ans:

	profit	loss	Total
International	0.15	0.30	0.45
local	0.10	0.45	0.55
Total	0.25	0.75	1

A. P (Local Manager) =0.10+0.45=0.55
B. P (Business makes a loss) =0.30+0.45=0.75
C. P (International Manager OR Business makes a profit)

=P(international)+P(profit)-P(international and profit)

=0.45+0.25-0.15

=0.55
D. P (Local Manager AND International Manager) =0

(as mutually exclusive events)
E. P (Business makes a loss | Manager is International) =0.3/0.45=0.667